Group Introduction

Group Introduction

Founded in 2003, Zhongrong Xinda Group Co., Ltd. is an international
large-scale conglomerate with energy chemical industry, financial investment,
logistics clean energy and mineral resources development as its main works. The
Group is headquartered in Qingdao, China. In 2017, the total assets of the Group
reach 157.8 billion yuan, the net assets reach 91 billion yuan, operating revenues
reach 75.3 billion yuan and net profits reach 3.5 billion yuan. The long-term
credit rating of the group is rated AAA and the financial industry is rated AAA.
Staying among the top 10 national logistics enterprises, its independent coking
enterprise capacity is among the highest production capacities nationwide, and
its on-ferrous metal mineral reserve lists top position in the world.

Zhongrong Xinda owns many ownership companies, in which include Shandong
Coking Group, Zhongrong Financial Holding Group, Shandong Logistics Group,
Zhongrong Xinda (Qingdao) Mineral Resources Co., LTD.. Now it has a staff of
11,000 people, among which more than 5500 are senior management and professional
and technical personnel.

The Group is a Vice President Company in China Logistics & Purchasing
Federation, a Vice Chairman Company in China Commercial Logistics
Standardization Action Coalition, a Vice President Company in China Coking
Industry Association, a President Unit in Shandong Provincial Logistics and
Transportation Association, an Executive Chairman Unit in Shandong Logistics
Park (Enterprise) Connectivity Cooperation League and a President Unit in
Shandong Provincial Coking Industry Association. It ranks 230 in China's top 500
companies, 53 in the private enterprises nationwide and 20 in Shandong
Provincial Top 100 Enterprises as well as 6 in Shandong Provincial Private
Enterprises.

It has gold, copper, cobalt and iron polymetallic deposit in Pongo, Peru. A
total area of 263 square kilometers with 39 mineral rights is under control,
with a possible ore of 10 billion tons of iron, 11 million tons of copper, 750
tons of gold, 87,000 tons of silver, 1.04 million tons of cobalt and 400 tons of
rhenium.

Product output: metallurgical coke, foundry coke, city gas, LNG, ethylene
glycol, power generating and other energy chemical products, lithium niobate
crystal film, lava stone and other high technological and new materials, iron,
copper, gold, silver, cobalt, rhenium and other non-ferrous metals. It annually
outputs 10 million tons of metallurgical coke and foundry coke and a series of
coal chemical products, 2 billion cubic meters of urban gas, 3 billion
kilowatt-hours of power generation scale and 21 million heavy boxes of float
glass.

Development strategy: based on the energy and chemical industry, with the
financial investment as the main part, the logistics clean energy and mineral
resources as two wings, it gives full play to the group effect that each sector
in Zhongrong Xinda Group complement each other’s advantages and collaboratively
support each other to form a new circular economy operation system with
integration of industry and finance of finance, logistics, resources and energy
to promote Zhongrong Xinda to cross the border and cross the industry to be
bigger and stronger, so as to build an international comprehensive group
company.